ChipsAugust 3, 2026via Financial Times Technology
ASML’s hold over the future of chipmaking is weakening
Why it matters
ASML's dominance in extreme ultraviolet (EUV) lithography has underpinned the entire AI compute buildout. A credible Chinese competitor reshapes supply-chain risk, geopolitical leverage, and the economics of the next generation of AI accelerators.
Key signals
- ASML holds near-monopoly on EUV lithography for sub-5nm production
- China advancing indigenous lithography capabilities, narrowing technical gap
- Risk to AI chip supply chains if ASML dominance erodes or export controls tighten
- Implications for AMD, Nvidia, TSMC, Samsung foundry roadmaps
- Geopolitical dimension: US export controls vs. Chinese self-sufficiency timeline
The hook
ASML's chokehold on advanced chipmaking is loosening. China is closing the gap faster than Washington expected.
The Dutch company’s monopoly is not at imminent risk but China is edging ever closer